According to Amelia Hill of The Guardian, 71-year old Kuttner was taken into custody and is "believed to have been arrested on suspicion of conspiring to intercept communications" and "on suspicion of corruption." Kuttner was in charge of finances for the NOTW tabloid until his resignation in July 2009. No reason was given for his resignation at the time.
The arrest relates to allegations that reporters for News Of The World hacked into the cell phones of murder and terrorism victims, celebrities, public officials, and even members of the royal family. Scotland Yard is also investigating allegations that around five of their own officers took bribes from NOTW reporters in exchange for information.
Police officers from both the phone hacking investigation and the investigation into the alleged bribing of police officials were reportedly involved in the arrest Tuesday.
Kuttner was taken in for questioning but is expected to be released on bail until October, The Guardian reports.
This marks the eleventh arrest in the phone hacking scandal, that has also resulted in several high profile resignations and a collapsed business deal for News Corp. Among those arrested was Rebekah Brooks, former NOTW editor and former chief of News International, which publishes News Corp's British newspapers. Andy Coulson, a former NOTW who later worked for Prime Minister David Cameron, has also been arrested.
The scandal has already begun to travel across the pond, with the FBI investigating allegations that News International reporters tried to hack the cell phones of British 9/11 victims. The DOJ is also reportedly preparing subpoenas for an inquiry into whether News Corp, which is based in the U.S., violated the Foreign Corrupt Practices Act (FCPA) if reporters for its British News Of The World tabloid bribed members of Scotland Yard.
British reporters are getting in the game too -- Nick Davies, the reporter for The Guardian who initially broke the phone hacking story, tweeted Monday: "Appeal for help. I just arrived in New York. Who can tell me truth about Murdoch in the US?"